Coinbase CEO: Crypto is a life buoy for Russian citizens

Coinbase Global Inc. CEO Brian Armstrong said that the company will not ban access to all Russian users for now, but if a sanction decision is taken in this direction, they will comply. Armstrong said on Twitter that Coinbase, like all law-abiding financial institutions, will ban accounts that may belong to individuals or institutions that are sanctioned, but they will not ban all Russian accounts as a precaution. Armstrong added, "After the collapse of Russia’s currency, cryptocurrencies have become a livelihood for some ordinary Russian citizens. Many oppose their country's actions, and such a ban would hurt them too." The cryptocurrency industry attracted a lot of attention during Russia's invasion of Ukraine, leading government officials to suspect that Russia or the country's wealthy might have bought crypto to avoid sanctions.

"Cryptocurrencies are easier to track than gold"

Ukraine, on the other hand, actively requested donations of digital assets, while the country's Minister of Digital Transformation, Mykhailo Fedorov, demanded that major cryptocurrency exchanges ban Russian addresses altogether. The latest blockchain data shows that the citizens of the countries exposed to sanctions are not in a hurry to transact on the major cryptocurrency exchanges. While the total size of crypto activities in Ruble on March 3 was $34.1 million, this figure was $70.7 million on February 24 and $158 million on May 20, 2021, which was a record. Brian Armstrong noted that he does not see a high risk for Russian oligarchs using crypto to avoid sanctions because it is much easier to track money transfers with open wallets than with cash or gold.